What is meant with Real World Asset (RAW)Tokenization

Real-World Asset Tokenization (RWA):

  1. Fundamentals:

    • RWA involves representing physical assets through digital tokens on blockchain platforms.
    • Examples include real estate, art, and commodities.
    • Blockchain ensures decentralization, transparency, and security for digital token administration.

  2. Advantages:

    • Increased liquidity through fractional ownership and easy trading on decentralized platforms.
    • Transparency through secure blockchain records.
    • Smart contracts reduce manual processes and intermediaries, enhancing processing speed and reducing operational costs.

  3. Challenges:

    • Regulatory uncertainty requires compliance with evolving financial regulations.
    • Robust security measures are essential to protect against cyber threats.

Click here to read more about Real World Asset (RAW) Tokenization. 


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